South Africa\u2019s modern and extensive transport system plays a very important role in the national economy and also in the economies of several African states.\u00a0 A number of countries in southern Africa use the South African transport infrastructure to move their imports and exports.<\/p><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/div><\/section><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t Transport in South Africa is coordinated by the Department of Transport which determines policy and sets guidelines for the industry.<\/p> In September 1996, Parliament accepted the White Paper on National Transport Policy.\u00a0 The document recommends that national transportation infrastructure networks should be established in conjunction with provincial and local governments as well as other southern African countries. The primary roads network should be defined and certain ports and airports elevated to hub status in keeping with international trends.<\/small><\/p> According to the White Paper, ownership and regulation of transport infrastructure, whether state-owned or privatised, would also be separated. \u00a0 In May 1997, the Minister of Transport, Mr Mac Maharaj, announced that from April 1998, the central Government would be responsible for policy, regulatory and financial control while four separate agencies would be set up to deal with specific sets of customers, and earn funds through user charges.\u00a0 The agencies would deal with the construction and management of roads; the issue of cross-border permits for goods and passengers, and maritime and aviation safety.<\/small><\/p> In October 1997, the Minister of Transport launched the planning project, Moving South Africa, aimed at determining the country\u2019s land, sea and air transport needs over the next 20 years.\u00a0 The project focuses on the structure, infrastructure and functioning of the South African transport system and categorises problems which may be solved in the short, medium and long term.\u00a0 The R18 million study was expected to be completed by August 1998.<\/small><\/p><\/div><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t In June 1997, the short list of bidders for Sun Air was announced by the Ministers of Transport and Public Enterprises. The four bidders were Malaysian Airlines Consortium, Phoenix Venture Partners Consortium, Rethabile\/Comair Consortium and Atlantic Bhekilanga Consortium.\u00a0 Later, Virgin Atlantic and Malaysian Air withdrew their bids.\u00a0 In September, it was announced that the Rethabile\/Comair Consortium had won the bid to purchase Sun Air in a R50 million deal.\u00a0 Rethabile and Coordinated Investment will hold a 55 percent controlling share and Comair 25 per cent. \u00a0 The remaining stake will be held by employees and the National Empowerment Fund (NEF).<\/p> In 1998, a 49 per cent stake in the Airports company of South Africa (ACSA) was put up for sale.\u00a0 The Government expected 20 per cent to be sold to a foreign strategic partner.\u00a0 Ten per cent of shares will be placed with empowerment investors, nine per cent will be offered to management and employees and a 10 per cent stake will be transferred to the NEF.\u00a0 In March 1998, the Minister of Transport announced that Aeroporti di Roma was the successful bidder.<\/p> South African Airways (SAA) has been earmarked as a candidate for partial privatisation.\u00a0 This process allows for an introduction of a strategic investor who will bring into the business among other things, management expertise and capital for growth of the airlines.\u00a0 Coupled with that is a focused human resources development programme.<\/p> SAA is in the process of being converted into a legal person of its own before any restructuring can take place.\u00a0 It is envisaged that the Government will sell a stake of between 20 to 25 per cent to strategic investor. \u00a0 Other potential stakeholders are the NEF, Blacks investors and labour.<\/p> The business unit of Autonet has been earmarked for full privatisation.\u00a0 Discussions are taking place within the National Framework Agreement \u2013 the consultative forum between labour and the Government on the restructuring of state assets \u2013 on how this process should proceed.\u00a0<\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t The public company Transnet Limited was founded on 1 April 1990.\u00a0 Transnet is the country\u2019s main transport operator, handling 175 million t of freight a year.\u00a0 Annually, 2.4 million passengers are transported by road, and 20 per cent of the nation\u2019s commuters are carried by Metrorail.\u00a0 Transnet flies five million domestic, international and regional passengers per year.<\/p> Transnet consists of seven transport businesses \u2013 Spoornet (air transport), Portnet (harbours), Autonet (road transport), Petronet (liquid petroleum transport), SAA (air transport) PX (container shipments) and Metrorail (commuter rail services), and a number of related and support businesses.<\/p> The company\u2019s functions, its total employee complement of 111,000 (February 1998) and its capital assets (R40 billion) make it one of the country\u2019s largest business undertakings.\u00a0 As a purchaser of various goods, and as one of the major employers in the country, Transnet makes an important contribution to the national economy.<\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\tTransport Policy<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
Privatisation and Restructuring<\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
Transnet Ltd<\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t